Best Buy Talks Wireless StrategyBest Buy Talks Wireless Strategy

Giving customers multiple options is very important, executives said, as most stores carry 95 handsets for nine networks.

Marin Perez, Contributor

December 4, 2008

2 Min Read
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Despite the tough economic times, people still want to stay connected to their friends, data, and social networks, according to Scott Moore, VP of marketing for Best Buy Mobile. Because of this, the consumer electronics retailer said it feels good about the role cell phones and smartphones will play in its long-term future.

But Moore said Best Buy's core strategy in the wireless space is combating consumers' negative perception of buying a new phone.

"Consumers think the experience of buying a mobile phone is a bit of a nightmare. ... Most would rather go to the dentist than buy a mobile phone," Moore said.

The company has made a strong push into the mobile space over the last few years with its Best Buy Mobile departments and standalone stores. Moore said the company has seen tremendous year-over-year growth in the sale of high-end multimedia handsets, and he expects that to continue with the addition of devices like the iPhone 3G.

"We're probably the only place where you can do a side-by-side comparison of the iPhone [3G], Samsung Instinct, BlackBerry Bold, and Storm. That's what consumers want," Moore said.

Giving customers multiple options is very important for Best Buy's strategy, and most stores carry 95 handsets for nine networks. The company also carries a variety of unlocked phones, including the Nokia E71. Moore sees the unlocked market as an emerging one that could become a major factor as the U.S. market becomes more handset-driven.

To make buying a new phone a better experience, Moore said the company has invested more than $10 million in ensuring that its noncommissioned staff is knowledgeable about the features, plans, and accessories for the latest handsets. The company was also the first to market with a program, Walking Out Working, that helps customers set up e-mail on their new handsets, as well as transfer data and contacts to new phones. Similar programs have since popped up at Sprint and Verizon stores.

Cell phones and smartphones have long been a double-digit growth market globally, but the economic slowdown has companies like Nokia, Samsung, and Sony Ericsson predicting tough business months ahead. But Moore said mobile phones are becoming a central point in consumers' lives, and he points to the sales success of phones this past Black Friday as a sign that the company is well-positioned to weather a downturn.

"We're good retailers, we know what consumers want, and we know how to get the basics right," he said.

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